Today, CMMI launched a new payment model, the Part D Payment Modernization Model , and made changes to the existing Medicare Advantage Value-Based Insurance Design Model as part of a broader effort to lower drug prices for Medicare beneficiaries.
Under the new Part D model, participating plans will take on greater risk for spending in the catastrophic phase of Part D and will be able to share savings is they stay below a spending target based on what governmental spending would have been without plans taking on additional risk. Changes to the MA VBID model will allow plans to provide reduced cost sharing and additional benefits to enrollees that includes customization based on chronic condition, socioeconomic status, and other factors.
For more information, please see a press release from CMS, fact sheet on the new Part D model, and fact sheet on changes to the MA VBID model.
